CONCERNS have been raised about how many new jobs will be created by the construction of the new Dungowan Dam.
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Preliminary works as part of the project's secretary's environmental assessment requirements (SEARS) have begun and have only created two local jobs so far, despite a $500,000 investment.
However, New England MP Barnaby Joyce said there was plenty of time for the project to create new jobs.
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"That's something that is obviously going to change over time," Mr Joyce said.
"The one thing I will never back against is the business acumen of the people of the city of Tamworth.
"This is just the preliminary work and then the major work will start, which will need so much that will come out of the city of Tamworth."
The results of the SEARS will help form the project's environmental impact statement.
"I think there needs to be a lot more consideration of the supposed benefits," Mr Spark told the Leader in August.
"It concerns me that it's all to enable increased water extraction, which is the bottom line, at a time when we should be looking at improving water efficiency."
However, Tamworth mayor Col Murray said he was confident the new dam would help deliver the city's water needs.
"I still remain quite confident this new dam will be the answer we need in regard to our water supply," Cr Murray said.
"We will of course have to wait for the business case to be finalised before we know exactly what the city's allocation will be, but we are still quite confident we will get what we need."
Cr Murray echoed Mr Joyce's sentiments regarding jobs, saying he expected local jobs "will come with a rush" once construction begins.
"I think it is a good spend of money because the reality is these pre-construction works are very specialised," he said.
"The local jobs will come once construction starts and it will then be dominated by local jobs.
"I don't think it is unreasonable to expect in these early days that we're not seeing lots of local jobs created yet.
"The jobs will definitely come as construction progresses."